Boeing seeks anti-dumping probe over Bombardier's C Series

[teacher]

Globe editorial: Boeing takes Bombardier to task over subsidies. Now that’s rich

The Globe and Mail
Published Sunday, May 21, 2017 6:00PM EDT
Last updated Sunday, May 21, 2017 6:00PM EDT

It’s both disheartening and kind of hilarious to watch the United States’ most heavily subsidized airplane manufacturer start a trade dispute over the subsidies given to Canada’s most heavily subsidized airplane manufacturer.

On Thursday, Boeing alleged at the first day of a trade hearing in Washington, D.C., that government subsidies given to Bombardier Inc. are allowing it to sell its C-Series planes below market price.
Boeing wants massive duties slapped on Bombardier’s medium-range airliners that would price them out of the American market.

This, of course, is the flying pot calling the flying kettle black. Boeing is the single most heavily subsidized American corporation at the state and local level, according to Good Jobs First, a website that tracks subsidies from U.S. government sources.

From 2000-2015, Boeing got $13.4-billion in grants and tax breaks – almost three times as much as the number-two company on the list, Intel. And now it’s crying “no fair,” because Bombardier has received billions in federal and provincial assistance, loans and investment since 2008 for the C-Series jet.

Bombardier, Boeing and their competitors around the world have basically made an industry out of squeezing the taxpayer for grants, low-interest loans and tax breaks. Some, like Bombardier, are poorly run companies that require – and inevitably get – bailouts when mismanagement catches up with them.

It all comes down to the simple fact that these companies create tens of thousands of jobs, and governments are ready to pay whatever it takes to reap the political benefits.

At the same time, the companies are desperately trying to undercut each other to win sales. Boeing’s commercial airline division is under siege from traditional foreign competitors like Bombardier, Airbus and Embraer, and from growing competition in Asia, so knocking Bombardier out of the game would be a big win.

It’s not a very edifying sight.

Kudos, though, to the Canadian government, which is calling Boeing’s bluff by threatening to cancel a multibillion-dollar order for the company’s Super Hornet fighter planes, if Boeing pushes ahead with its complaint against Bombardier.

As of Friday, Boeing’s military-sales division was trying to get someone in Ottawa to pick up the phone.

https://www.theglobeandmail.com/opinion ... e35066324/

[sanjet]

I think Boeing is ready/willing to lose the hornet contract if they can dent Bombardier cash flow. They learned their lesson by letting airbus get in on the market a few decades ago. As I said, C-series is a game changer and Boeing knows it, thinking decades ahead.

[teacher]

Boeing has an inferior product and the only way to protect it is to attempt to block competition. Nobody wants the max 7 because it's a poor performer.

As for Canada, I hope Trudeau slaps Boeing with counter duties on any aircraft that come to Canada both narrow and wide body. Sadly I fear our little boy PM will just dodge any questions as always and take a few extra selfies.

[godsrcrazy]

How many think the executives at Boeing are pissing them selfs laughing in the board room. I can hear Boeing in the board room now. Wow the Canadian Liberals really tot us a lesson. They are going to buy 18 crapped out CF-18 from the aussies so the aussies can buy new CF-18. Oh lets not forget to jack the price of parts up to the Canadian to rebuild them old planes. After all they Liberals are pissed at us.

If they really want to send a message buy some french Mirages our something not made by the USA.


https://www.msn.com/en-ca/money/topstor ... li=AAgh0dA

[rookiepilot]

Boeing has an inferior product and the only way to protect it is to attempt to block competition. Nobody wants the max 7 because it's a poor performer.

As for Canada, I hope Trudeau slaps Boeing with counter duties on any aircraft that come to Canada both narrow and wide body. Sadly I fear our little boy PM will just dodge any questions as always and take a few extra selfies.

Our fearless leader -----. This is not a negotiator.

The US knows it. China knows it. They are laughing at us.

[Chris M]

Suck it Boeing. 4-0 panel decision in Bombardier's favor.

https://globalnews.ca/news/3989725/boei ... y-cseries/

[schnitzel2k3]

And yet the U.S ruled in our favour. No thanks to J.T..

292% duties dropped. Bombardier free to continue to dump their jets into the U.S at cost.

S.

[rigpiggy]

Unlike boeing dumping below cost?

[Jet Jockey]

What an excellent news! It's about time someone in the USA saw through Boeing's bogus claims.

[goldeneagle]

I'm waiting on the expert investor dubbed rookiepilot to weigh in on just how bad an investment bombardier is, and how this makes no difference to it.

I bought up some bbd.b shares when they sank below a buck and started to get into pocket change prices. Sold a bunch on the first big jump, enough to recover the initial capital. On this news today, what's left is now over $3.50 and will probably go to 5 on an announcement about sales. Dunno, not sure I care either, been playing the game long enough to know, there reaches a point where you have to turn the paper gains into capital gains, and the bbd shares are pushing that point now. Probably time to sell enough to recover the initial capital again, leave a few on the table just in case they run again.

[schnitzel2k3]

Unlike boeing dumping below cost?

Trust me, I'm happy BBD won, just sad the had to cut their throats to make these deals.

It'd be nice to be proud and profitable.

S.

[Black_Tusk]

Too bad we gave away the C Series for free to Airbus.

[Noo]

Wonderful news for Northern Ireland.

[av8ts]

In other news. As soon as Fox runs this story and the orange man finds out, there will be 4 openings at the USITC.

[rookiepilot]

I'm waiting on the expert investor dubbed rookiepilot to weigh in on just how bad an investment bombardier is, and how this makes no difference to it.

I bought up some bbd.b shares when they sank below a buck and started to get into pocket change prices. Sold a bunch on the first big jump, enough to recover the initial capital. On this news today, what's left is now over $3.50 and will probably go to 5 on an announcement about sales. Dunno, not sure I care either, been playing the game long enough to know, there reaches a point where you have to turn the paper gains into capital gains, and the bbd shares are pushing that point now. Probably time to sell enough to recover the initial capital again, leave a few on the table just in case they run again.

I am happy for this decision. Happy for a Canadian company doesn't make it a good investment. Investing isn't cheerleading AKA your favourite sports team.

IMO BBD's issues run deep just look at the train division. I would need to see the entire management team change before even looking at it, that's just me, GLTA.

[sanjet]

Looks like the 320 NEO with the PW engines just lost their ETOPS certification due to engine issues. Could be a boost for C-series sales.

[leftoftrack]

preety sure they run the same engine

[Chris M]

There are quite a few differences between the two models. The last round of engine problems the NEO has didn't affect the CSeries.

[Jet Jockey]

Excellent news...

Boeing puts trade challenge to rest...

Mar. 23, 2018 5:16 AM ET|About: The Boeing Company (BA)|By: Yoel Minkoff, SA News Editor

Boeing (NYSE:BA) will not appeal against the U.S. trade commission's ruling that allows Canada's Bombardier (OTCQX:BDRAF, OTCQX:BDRBF) to sell its CSeries jets to U.S. airlines without a near 300% duty on sales.

Mending the relationship? The American planemaker is currently a bidder for Canadian government's competition for fighter jets worth between C$15B-$C19B.

[rookiepilot]

Good for them. Be nice to see a success story from this product.